NEW DELHI: Areport by market research agency Canalys says around 7.5 million smartwatches with cellular connectivity will be shipped in 2016, rising to 53.6 million in 2020. The report said shipments are likely to be driven by a new Apple Watch with cellular connectivity in the short term.

Samsung and LG have been aggressive in bringing new cellular technologies to the market with smart watches such as the Gear S2 classic 3G/4G and the Watch Urbane 2nd Edition LTE. Both the Tizen and Android Wear smart watch platforms already support cellular connectivity.

"The phase 2 eSIM specification will enable more independent smart watches with a smoother user experience around cellular connectivity," said analyst Daniel Matte.

"Users will soon be able to easily choose among cellular providers and pay for monthly service. Many more smart watches with LTE and GPS/GNSS will also be released this year," he added.